The inability to access character menus is probably the biggest issue with the current werewolf design because it prevents the player from being able to have and use a proper suite of abilities. I can understand not wanting the werewolf to have access to conventional inventory or magic, but having a large number of abilities available - some of which are circumstantial - doesn't help much if you're stuck only being able to use a single pre-selected one.
From what we've seen dawnguard changes that. If Vampire Lords can select from a suite of abilities without access to conventional inventory or magic we can assume werewolves will be the same.
All werewolves should utilize the Lord stone as well, it carries over into the beast form. Also, armor spells like Dragon hide carry over as well giving you a 50% damage resist fromthe Lord stone and an additional 80% from Dragon hide, add in a cloak spell like "fire cloak " or " ice cloak " and for 60 seconds you are the most powerful being on the map. And that's without the use of the " fear howl ", which makes anyone under Lv.30 [censored] their pants and run for their lives.
Lord Stone gives you 50 points of armor which equals out to about 10% damage at the most.
he only problem is that you need to enter the menu to re-equip the ring and the power each time you change back to human for, kinda slows down the momentum as your fighting / moving.
If you drop out of werewolf form in the middle of the fight transforming with enemies all around you is usually a bad idea.